Vantage Data Centers acquires Next Generation Data for undisclosed sum
Wales will mark the company’s sixth strategic market in Europe following its entrance into five markets announced in February 2020, including the acquisition of Etix Everywhere.
Vantage Data Centers has signed a definitive agreement with InfraVia Capital Partners, along with the two founders of the business, to acquire Next Generation Data (NGD). The financial terms of the deal were not disclosed.
The NGD campus is in the Cardiff Capital Region in South Wales, which includes the Welsh capital, and is the region’s economic hub.
The acquisition is set to provide Vantage customers with access to one of Europe’s largest data centre campus totalling 180MW, including an existing 72MW facility and 108MW of expansion capacity.
Located on 50-acres, the existing NGD data centre is a Tier III facility that uses 100% renewable energy, according to the company.
NGD Cloud Gateway provides multiple access services, including Express Route and Connect, and NGD recently became a new hosting facility for LINX Wales.
“As the needs of our hyperscale, cloud and large enterprise customers continue to grow, Wales represents a highly attractive U.K. market offering both lower cost and greater scalability versus London,” said Sureel Choksi, president and CEO, Vantage Data Centers.
“NGD customers benefit from very low network latency to London, low power costs and excellent fibre connectivity, coupled with the company’s massively scalable campus outside London’s highly constrained M25 area. We are thrilled to welcome Justin Jenkins and the entire NGD team to Vantage Europe.”
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NGD’s CEO Justin Jenkins will join Vantage as president, Vantage, U.K., once the acquisition closes. Jenkins previously served as the company’s CTO and COO before being named CEO in 2018.
“The NGD team is excited to join Vantage Europe given our shared commitment to operational excellence, high-quality facilities and sustainable building practices,” said Jenkins.
“Vantage’s global footprint and broad customer relationships, combined with NGD’s growing hyperscale and enterprise U.K. customer base, position us ideally to accelerate the investment and growth of our U.K. business.”
The transaction will be funded with equity commitments from Digital Colony Partners and other investors in Vantage, as well as acquisition debt financing.
“The need for hyperscale data centres is more vital than ever, and we are thrilled to support Vantage Europe in its acquisition of NGD,” said Marc Ganzi, CEO of Digital Colony and CEO-elect of Colony Capital.
“Despite the current market dislocation, Digital Colony remains committed to supporting its portfolio companies and meeting the ever-increasing needs of our valued customers around the globe.
“This strategic acquisition advances that goal, providing Vantage Europe with immediate scale and access to significant renewable energy in the important UK market.”
The transaction is subject to customary regulatory approvals and is expected to close in Q3 2020.
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